CR 2000-190 Additional Improvements-Valley Park Condominiums
CITY OF
November 15, 2000 ~ Council Report 2000-190
NaPKINs
. ADDITIONAL IMPROVEMENTS - VALLEY PARK CONDOMINIUMS
Proposed Action
Staff recommends adoption of the following motion: Move to approve Resolution 2000-86
authorizin~ expenditure of a portion of the proiect fund balance for housina improvement area
no. 3 - Valley Park Condominiums.
Overview
In 1999 the City of Hopkins approved the creation of a housing improvement area for Valley
Park Condominiums for the purpose of financing a variety of improvements. The project was
completed under budget resulting in a project fund balance of approximately $105,000.
The Valley Park Association has requested that a portion of the remaining funds be used to pay
for additional improvements to the building entrances which were redesigned as part of the
improvement project. In addition, City staff is recommending that improvements be made to a
catch basin which has a negative backflow into the 11th Avenue Storm Sewer. Together these
improvements total approximately $69,000.
Because these improvements are related to the improvements described in the enabling
. ordinance, the ordinance does not need to be amended. However, the City Council does need
to approve of the additional improvements through a resolution.
Primarv Issues to Consider
Staff postponed bringing this item to the City Council until after the first half fee collections were
received and the delinquency rate determined. The delinquency rate is currently less than 2%
which is within the budgeted amount.
Although the City does have the ability to apply the remaining funds to pay debt on the bonds or
establish a reserve fund for future improvements, staff is recommending approval of the
association's request as the improvements are related to the project and have a benefit
SUPDortina Information
. Financial Impact: $69,000 Budgeted: yes Source: H IA No. 3 project fund balance
Related Documents (CIP, ERP, etc.): None
Notes:
.
. CITY OF HOPKINS
RESOLUTION NO. 2000-86
RESOLUTION AUTHORIZING EXPENDITURE OF
A PORTION OF THE PROJECT FUND BALANCE FOR
HOUSING IMPROVEMENT AREA NO. 3
BE IT RESOL YED by the City Council ("Council") of the City of Hopkins ("City") as
follows:
Section 1. Recitals.
1.01. The City is authorized under 1994 Minnesota Laws, Chapter 587, Article 9, Sections
22 through 31 (the "Act") to establish by ordinance a housing improvement area within which
housing improvements are made or constructed and the costs of the improvements are paid in whole
or in part from fees imposed within the area.
1.02. By Resolution No. 94-55 adopted June 7, 1994, the City Council of the City
approved the Act.
1.03. By Ordinance No: 99-822 (the "Enabling Ordinance) the City established Housing
. Improvement Area No. 3 (Valley Park) in order to finance certain Housing Improvements as
defined in the Enabling Ordinance.
1.04. By Resolution No. 99-002, the City approved the imposition of a Housing
Improvement Fee on the housing units within the Housing Improvement Area No.3.
1.05. The City and Westbrooke-West Condominium Association, Inc., d.b.a. Valley Park
Condominium Association (the "Association") entered into a Development Agreement dated as of
March 2, 1999 (''Development Agreement"), pursuant to which the City issued its $1,465,000
Taxable General Obligation Housing Improvement Area Bonds, Series 1999A (''Bonds''). The City
disbursed a portion of the proceeds of the Bonds to the Association to pay costs of the Housing
Improvements.
1.06. Under Section 3.9 of the Development Agreement, the City may, by resolution of the
City Council, transfer all or a portion of any funds remaining in the Project Fund for the Bonds to a
Supplemental Project Fund, and disburse such funds to the Association for additional housing
improvements that are designated by the City and consistent with the Enabling Ordinance.
1.07. The City has determined that a balance remains in the Project Fund after completion of
the Housing Improvements specified in the Development Agreement, and that it is in the best
interests of the City to transfer a portion of such balance to the Supplemental Project Fund.
. Section 2. Transfer of Funds Approved.
2.01. The City hereby approves transfer of funds from the Project Fund to the Supplemental
Project Fund in the following amounts for the following Housing Improvements:
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. (a) An amount not to, exceed $20,000 for entry foyer improvements, including removal
of wallpaper and painting walls, woodwork and railings~
(b) An amount not to exceed $24,000 for entry foyer carpeting.
(c) An amount not to exceed $25,000 for parking lot drainage improvements.
The amounts transferred to shall be determined by City staff upon submittal of draw
requests by the Association.
2.02. Amounts transferred to the Supplemental Project Fund shall be disbursed to the
Association to pay the cost of the Housing Improvements specified in Section 2.01 of this
resolution, in accordance with all the disbursement procedures set forth in Sections 3.2 through 3.6
of the Development Agreement.
2.03. City staff and officials are hereby authorized and directed to take any and all other
steps necessary or convenient in order to carry out the intent of this resolution.
Approved by the City Council of the City of Hopkins this 21st day of November, 2000.
. Mayor
ATTEST:
City Clerk
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